[Context: On August 23 EnCap Flatrock-backed Getka Energy announced the acquisition of a Cushing crude oil terminal. Terms were not disclosed. Further details, advisors and related links are below.]
Getka Energy http://oilgasequity.com/?s=%22Getka+Energy%22 | EnCap Flatrock Midstream http://oilgasequity.com/?s=%22+EnCap+Flatrock%22
Getka Energy Acquires Cushing Terminal and Adjacent Acreage
TULSA, Okla.–August 23, 2018–(BUSINESS WIRE)–Crude oil logistics provider Getka Energy LLC (“Getka”) today announced it has closed on the purchase of the former Pacer Energy Terminal located in Cushing, Oklahoma. The 28-acre property houses crude oil storage tanks and several LACT units. The terminal is connected to Enterprise Products’ Cushing Terminal via pipeline.
Getka plans to upgrade the terminal to allow for increased throughput and delivery into the Enterprise terminal and other planned interconnections. Upgrades to the property are expected to take several months. Getka anticipates it will bring the terminal back into service at the end of the fourth quarter in 2018.
To allow for upgrades and further expansions, Getka is purchasing approximately 22 acres in adjoining acreage to bring Getka’s total footprint in Cushing to approximately 50 acres. This acreage will serve as the foundation of the company’s ongoing development of a hub at the Cushing market center. Getka’s goal is to develop a hub-and-spoke platform of integrated assets that work together to create efficient access to producing basins and expand market delivery and optionality.
“This is the first step in Getka’s broad strategy to develop a new and sophisticated crude oil delivery platform across Oklahoma,” said Getka Energy CEO Dariusz Cichocki. “We are looking to add to Cushing’s value and rich history, and we are extremely excited to bring new customers, a unique and enhanced terminal design, and optionality for our customers and the market.”
Getka Energy was advised by managing partner Zac Lindsey of LINDSEYfirm in Tulsa, Oklahoma. Getka’s financial sponsor, EnCap Flatrock Midstream, was advised by Gibson Dunn & Crutcher LLP with partner Gerry Spedale in the lead role from the firm’s Houston office.
About Getka Energy LLC
Getka Energy is a crude oil logistics provider focused on storage, blending and terminal solutions, as well as pipeline transportation and market optionality for producers across North America and domestic and international marketers. Headquartered in Tulsa, Getka was formed in early 2018 and is backed by a $250M commitment from EnCap Flatrock Midstream.
About EnCap Flatrock Midstream
EnCap Flatrock Midstream provides value-added growth capital to proven management teams focused on midstream infrastructure opportunities across North America. The firm was formed in 2008 by a partnership between EnCap Investments L.P. and Flatrock Energy Advisors, LLC. Based in San Antonio with offices in Oklahoma City and Houston, the firm manages investment commitments of nearly $9 billion from a broad group of prestigious institutional investors. EnCap Flatrock Midstream is currently making commitments to new management teams from EFM Fund IV, a $3.25 billion fund.